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Government stimulus to Kickstart Apprenticeships

Date Added: 26/11/2009
On 16 October 2009, the Deputy Prime Minister announced the Apprentice Kickstart package - a $100 million investment in two measures designed to counteract the impact of the global recession on Australian Apprenticeships commencement and retention rates.  It also aims to increase opportunities for young people to transition from school to trade training, improving their chances of engaging with long term employment.

The new program comes as a result of the final Keep Australia Working Report, which included recent figures showing people starting trade apprenticeships had dropped by more than 20 percent during the economic downturn compared to the same time last year.

To address this, the Australian Government has fine-tuned the Jobs Fund stimulus measure to ensure that Australia continues to recruit and train apprentices in traditional trades and meets the potential skills shortage head on.

‘The Government’s Apprentice Kickstart will more than triple the first year bonus paid to employers who take on traditional trades apprentices this summer,’ Ms Gillard said.

‘We’re boosting the commencement bonus from $1500 to $2350 and then following up with another $2500 at nine months which means employers will now receive $4,850 in the first year for taking on a traditional trade apprentice over the summer.’

The Apprenticeship Kickstart will be funded from the Government’s $650 million Jobs Fund and will be available to all employers who take on a traditional trade apprentice aged between 15 and 19 years.

The new funding boost brings to around $250 million in the level of additional support the Australian Government is providing to apprentices.

The bonus will be available for apprentices who are hired between 1 December 2009 and 28 February 2010 and have commenced in traditional trades hardest hit by skills shortages identified on the National Skills Needs List.

This includes trades like butchers, bakers, bricklayers, carpenters, electricians, hairdressers and pastry cooks.

The Government is also providing $20 million for pre-apprenticeship proposals as part of the $100 million Kickstart.

Ms Gillard also announced Round 2 of the Jobs Fund would open soon.

There will be two sources of funding in round two of the Jobs Fund:

  • $51.9 million from the Local Jobs stream for the promotion of green technology, heritage and environment friendly projects
  • $41.4 million for the Get Communities Working stream, to support social enterprise to create self-sustaining social businesses.

The Government will release the guidelines for Round 2 soon, with details regarding the remaining funds in the Jobs Fund to be announced in the future.

Projects to be funded under both streams will need to ensure they are focused on local solutions in areas which have higher than average unemployment or are disadvantaged.

For more information on the Jobs Fund, visit www.deewr.gov.au/employment/pages/jobsfund.aspx

Source:

Training Packages @ Work - October 2009 - http://www.tpatwork.com/ViewIssue.asp


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